[¶12,225] In the Matter of Robert E. Griffin, First State Bank, Crossett,
Arkansas, Docket No. 03-149e (6-8-04).
Respondent is prohibited from participating in the conduct of affairs
of, or exercising voting rights in, any insured institution without the
prior written approval of the FDIC.
[.1] Prohibition, Removal, or SuspensionProhibition FromParticipation in
Conduct of Affairs
[.2] Prohibition, Removal, or SuspensionProhibition FromVoting Rights,
exercise of
In the Matter of
ROBERT E. GRIFFIN,
individually, and as an institution-affiliated party of
FIRST STATE BANK
CROSSETT, ARKANSAS
(Insured State Nonmember Bank)
ORDER OF PROHIBITION FROM FURTHER PARTICIPATION
FDIC-03-149e
Robert E. Griffin ("Respondent") has been advised of the
right to receive a NOTICE OF INTENTION TO PROHIBIT FROM FURTHER
PARTICIPATION ("NOTICE") issued by the Federal Deposit Insurance
Corporation ("FDIC") detailing the violations, unsafe or unsound
banking practices, and/or breaches of fiduciary duty for which an ORDER
OF PROHIBITION FROM FURTHER PARTICIPATION ("ORDER") may issue,
and has been further advised of the right to a hearing on the alleged
charges under section 8(e) of the Federal Deposit Insurance Act
("Act"), 12 U.S.C. §1818(e), and the FDIC's Rules of Practice
and Procedure, 12 C.F.R. Part 308. Having waived those rights, the
Respondent entered into a STIPULATION AND CONSENT TO THE ISSUANCE OF AN
ORDER OF PROHIBITION FROM FURTHER PARTICIPATION ("CONSENT
AGREEMENT") with a representative of the Legal Division of the FDIC,
whereby solely for the purpose of this proceeding and without admitting
or denying any violations, unsafe or unsound banking practices, and/or
any breaches of fiduciary duty, Respondent consented to the
issuance of an ORDER by the FDIC.
The FDIC considered the matter and determined it had reason to believe
that:
(a) The Respondent has engaged or participated in violations of law
or regulations, unsafe or unsound banking practices, and/or breaches of
fiduciary duty as an institution-affiliated party of the FIRST STATE
BANK, CROSSETT, ARKANSAS;
(b) By reason of such violations, practices, and/or breaches of
fiduciary duty, the Respondent received financial gain or other
benefit; and
(c) Such violations, practices, and/or breaches of fiduciary duty
involve personal dishonesty on the part of the Respondent or
demonstrate the Respondent's willful and/or continuing disregard for
the safety or soundness of the Bank.
The FDIC further determined that such violations, practices,
and/or breaches of fiduciary duty demonstrate the Respondent's
unfitness to serve as a director, officer, or person participating in
the conduct of the affairs, or as an institution-affiliated party, of
the Bank, any other insured depository institution, or any other agency
or organization enumerated in section 8(e)(7)(A) of the Act, 12 U.S.C.
§1818(e)(7)(A).
The FDIC, therefore, accepted the CONSENT AGREEMENT and issued the
following:
ORDER OF PROHIBITION FROM FURTHER PARTICIPATION
1. ROBERT E. GRIFFIN is hereby, without the prior written approval
of the FDIC and the appropriate Federal financial institutions
regulatory agency, as that term is defined in section 8(e)(7)(D) of the
Act, 12 U.S.C. §1818(e)(7)(D), prohibited from:
[.1] (a) Participating in any matter in the conduct of the affairs of any
financial institution or organization enumerated in section 8(e)(7)(A)
of the Act, 12 U.S.C. §1818(e)(7)(A);
[.2] (b) Soliciting, procuring, transferring, attempting to transfer,
voting, or attempting to vote any proxy, consent, or authorization with
respect to any voting rights in any financial institution enumerated in
section 8(e)(7)(A) of the Act, 12 U.S.C. §1818(e)(7)(A);
(c) Violating any voting agreement previously approved by the
appropriate Federal banking agency; or
(d) Voting for a director, or serving or acting as an
institution-affiliated party.
2. This ORDER will become effective upon its issuance. The
provisions of this ORDER will remain effective and enforceable, except
to the extent that, and until such time as, any provision of this ORDER
shall have been modified, terminated, suspended, or set aside by the
FDIC.
Pursuant to delegated authority.
Dated this 8th day of June, 2004.